Gunvor wraps oversubscribed tender for $80 million of 5.875% notes

By Susanna Moon

Chicago, April 16 – Gunvor Investments Ltd. said investors had tendered $106.55 million of the 5.875% notes due 2018 issued the Gunvor Group Ltd. by 11 a.m. ET on March 30, the early tender date.

As a result, the company purchased $80 million of the notes on a prorated basis in the oversubscribed tender offer, according to a company notice.

Gunvor said on March 16 that it began a tender offer for up to $80 million of the $500 million principal amount of 5.875% notes. There was $426 million of the notes outstanding at the time.

As previously announced, the purchase price was $890 for each $1,000 principal amount along with an early tender premium of $30.00 per $1,000 principal amount of notes tendered by the early tender deadline.

The company also paid accrued interest.

The tender offer ended at 3 a.m. ET on April 14. The early tendered notes were settled April 15.

The purpose of the offer was to allow the group to acquire some of the issuer’s outstanding notes, which reflects the group’s robust liquidity position and is consistent with its ongoing liability management objectives, according to a previous company press release.

The offer also provided noteholders an opportunity to gain liquidity, the company said.

The minimum denomination of notes was $200,000.

The dealer manager is Credit Suisse Securities (Europe) Ltd. (+44 0 20 7883 8763 or liability.management@credit-suisse.com). The tender agent is Deutsche Bank AG, London Branch (+44 0 20 7547 5000, or xchange.offer@db.com).

Gunvor is a commodities trading house based in Geneva.

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